Baidu's Business Model and its Evolution

Baidu's Business Model and its Evolution
Case Code: BSTR512
Case Length: 19 Pages
Period: 2000-2017
Pub Date: 2017
Teaching Note: Available
Price: Rs.700
Organization: Baidu, Inc.
Industry : Search, E-commerce
Countries: China
Themes: Business Model Innovation, International Management, Globalization Strategy
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Abstract Case Intro 1 Case Intro 2 Excerpts

Background Note

Baidu was co-founded by Li and his friend Xu in 2000. In 1991, Li, a native of the Shanxi province of China, went to the US for higher studies. After completing his studies, he worked with IDD Information Services between 1994 and 1997, and as a staff engineer at Infoseek between 1997 and 1999. Right from the beginning, Li had a passion for Internet-based search and while working at Infoseek he developed a search mechanism called ‘Link Analysis’ . After this, he was given an assignment to supervise search engine development. But in 1999, Walt Disney Co. acquired a stake in Infoseek after which the company’s focus shifted from search to content. In order to further his interests in search engines, Li decided to start his own search engine along with Xu, a Chinese national working in the US, who had a PhD in biochemistry and good contacts in Silicon Valley.......

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